OilVoice - JKX Reports First Hungarian Gas Development On-stream

JKX Reports First Hungarian Gas Development On-stream

Wednesday, August 19, 2009

JKX Oil & Gas plc announces the commencement of commercial gas production from the Hajdúnánás field in north east Hungary. The field has come on-stream at an initial rate of 3.5 MMcfd from the Hajdúnánás -1 well, following its initial discovery in August 2008. The Hajdúnánás -2 well is scheduled to come on-stream within one month and, together, production is expected to increase to approximately 8.5 MMcfd.

The newly completed Hajdúnánás gas plant is connected via a 14.7 km, 8-inch diameter pipeline to a tie-in and fiscal metering point on the national gas network. A gas sales contract has been concluded with Fogaz Zrt, the Hungarian subsidiary of the German utility, RWE.

The Hajdúnánás Field is the first development on the Hernád licences which cover a total of 5,420 sq km. JKX holds a 50% interest in the licences. Exploration work is ongoing on the Hernád licences with additional drilling results expected through the remainder of the year.